TLDR
- Tesla received a Texas Department of Licensing permit to operate robotaxis statewide without safety drivers until August 2026
- TSLA stock jumped over 5% to $346.50 following news of Austin service opening to public next month
- Company expanded from Austin pilot program to full Texas operations, competing directly with Waymo and Uber
- Tesla faces NHTSA investigation over safety concerns with 51 deaths since October 2024 and highest US crash rate
- Musk targets serving half of US population with robotaxi services by end of 2025
Tesla stock surged over 5% to $346.50 after securing a statewide Texas robotaxi permit. The Texas Department of Licensing and Regulation approved Tesla Robotaxi LLC as a transportation network company across the entire state.
The permit allows Tesla to operate ride-hailing services with or without human safety drivers until August 2026. This marks Tesla’s first official entry into the commercial robotaxi market.
TSLA shares rallied following Elon Musk’s confirmation that Austin’s robotaxi service opens to the general public next month. Investors view this as a major step toward Tesla’s autonomous vehicle goals.
The approval expands Tesla operations beyond its current Austin pilot program. Since June 22, 2025, Tesla has tested rides with select influencers and analysts in Model Y vehicles.
Tesla Robotaxi Expansion Targets Major Texas Cities
The new permit removes geographic restrictions limiting Tesla to Austin. Tesla can now operate robotaxis in major Texas cities including Dallas and Houston.
This expansion puts Tesla in direct competition with Waymo’s existing Austin operations. Google’s self-driving unit already partners with Uber for robotaxi services in the city.
Tesla was recently spotted testing driverless vehicles in Miami without safety drivers. This suggests rapid national expansion beyond Texas markets.
Musk set aggressive targets for Tesla’s robotaxi rollout. He predicts the service could reach half the US population by end of 2025.
The Texas permit represents Tesla’s first commercial deployment with paying passengers. Many other automakers remain in testing phases for autonomous vehicles.
NHTSA Investigation Clouds Tesla Stock Momentum
Tesla’s robotaxi progress comes with regulatory scrutiny. NHTSA confirmed investigations into Tesla’s self-driving technology following safety concerns.
Early Austin trial data shows system failures occurring every 2-8 days per vehicle. Online videos captured Tesla robotaxis running stop signs and drifting into wrong lanes.
Tesla recorded 51 deaths since October 2024, including 2 linked to Full Self-Driving technology. Tesla currently has the highest US crash rate in 2024 at 26.67 accidents per 1,000 drivers.
This represents a 13.3% increase from 2023 levels. Critics question Tesla’s safety data consistency and third-party validation methods.
Tesla’s own safety metrics show 1 crash every 7.44 million miles on Autopilot versus every 1.51 million miles without the system.
Texas provides favorable regulatory environment for autonomous vehicle testing. The state has clear legal frameworks supporting driverless deployment.
Tesla’s success in Texas could blueprint expansion into other car-dependent states. The company must prove its vision-only self-driving system matches competitors using additional sensors.
The Texas permit officially launches Tesla into commercial ride-hailing competition with established players like Uber and Lyft.
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